Ferguson Marine
Corporate brand
UnclaimedA Scottish shipbuilder based at Port Glasgow on the lower River Clyde.
Last updated August 25, 2026
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Overview
Ferguson Marine is a Scottish shipbuilding company whose yard is located at Port Glasgow on the Firth of Clyde. Established in 1903 by four Ferguson brothers, the business has operated under several ownership and corporate structures, while retaining a long association with the Ferguson name and with ship construction on the lower Clyde. It is regarded as the last remaining shipbuilder on the lower Clyde and, according to the referenced account, the only builder of merchant ships on the River Clyde. The yard has built a wide range of commercial and specialist vessels, including tugs, ferries, fishing vessels, fish-farm support craft, barges and naval-related structures. In the modern era its principal activity has been the construction and repair of roll-on/roll-off ferries, particularly vessels for Caledonian MacBrayne services through the Scottish Government-owned procurement body Caledonian Maritime Assets Limited. Ferguson Marine also became an early builder of low-emission ferries: between 2013 and 2016 it constructed three hybrid diesel-electric and battery-powered vessels, beginning with Hallaig, described in the reference material as the world's first vessel of its type. The company's most consequential recent project has been the construction of two dual-fuel ferries, Glen Sannox and Hull 802, later associated with the name Glen Rosa. The vessels were ordered for CalMac service and designed to operate using marine diesel oil or liquefied natural gas. Design development, cost escalation, construction difficulties and disputes among the shipyard, the Scottish Government and project stakeholders caused substantial delays. The problems contributed to the collapse of the private operating company, Ferguson Marine Engineering Limited, in 2019 and to the Scottish Government's decision to take the yard into public ownership. The nationalisation transaction was completed on 2 December 2019, creating Ferguson Marine (Port Glasgow) Limited as a new business. The enterprise is classified as an executive non-departmental public body of the Scottish Government. Public ownership was intended to preserve industrial capacity on the Clyde, protect skilled employment and allow the ferry contracts and other orders to continue. A government-appointed turnaround team and a new board were subsequently established, with additional naval architects, engineers and production staff brought in to address unfinished design and construction work. Alongside the delayed ferries, the yard completed fish-farm support vessels for Inverlussa Marine Services, including Helen Rice and Kallista Helen, and launched a large air-cushioned barge ordered for offshore work. In 2023 Ferguson Marine announced an initial contract with BAE Systems to fabricate steel units for HMS Belfast, a City-class Type 26 frigate. In 2025 it signed a further BAE Systems contract for structural components for HMS Birmingham. These agreements indicate an effort to diversify beyond ferries into subcontracted naval fabrication and other specialist marine work. Ferguson Marine remains an important industrial and political institution in Scotland. Its history reflects the consolidation and nationalisation of the British shipbuilding industry, repeated changes in private ownership, the vulnerability of smaller yards to gaps in order flow, and the strategic importance attached to retaining shipbuilding skills on the Clyde. Its present business combines vessel construction, repair, fabrication and marine engineering, although the long-running ferry programme continues to shape its public profile.
History
Ferguson Marine traces its origins to March 1903, when brothers Peter, Daniel, Louis and Robert Ferguson left Fleming & Ferguson in Paisley and leased the Newark yard at Port Glasgow. The first vessel launched there was the tug Flying Swift, launched on 26 October 1903. The Ferguson family acquired the yard's freehold in 1907 and incorporated the operation as Ferguson Brothers (Port Glasgow) Limited in 1912. The business was acquired by John Slater Limited in 1918 but returned to Ferguson family control during the late 1920s. After Bobby Ferguson's death in 1954, Lithgows acquired an interest and took control in 1961. Ferguson Brothers operated within the Scott Lithgow group from 1969 until 1977, when the company was nationalised and absorbed into British Shipbuilders. In 1980 it was combined with Ailsa Shipbuilding Company as Ferguson-Ailsa Limited. The Ferguson and Ailsa operations were separated in 1986. Ferguson was then combined with Appledore Shipbuilders in Devon to create Appledore Ferguson Shipbuilders Limited. The Ferguson yard was demerged from Appledore in 1989 and acquired by Clark Kincaid, a Greenock engineering company. After Clark Kincaid became part of Kvaerner in 1990, the Ferguson yard was sold to Ferguson Marine plc in 1991. Holland House Electrical Group acquired the whole shareholding in 1995, although the Ferguson Shipbuilders name continued to be used at the yard. During the early 2000s the yard faced difficulty securing a steady flow of work. In 2005 the Scottish Executive discussed the loss of prospective public-sector orders to a Polish shipyard and the resulting threat to employment and the yard's viability. Ferguson later developed expertise in lower-emission ferries. From 2013 to 2016 it built three hybrid diesel-electric and battery-powered vessels, beginning with Hallaig. In August 2014 the operating company entered administration. Clyde Blowers Capital, owned by industrialist Jim McColl, acquired the yard the following month for £600,000 and renamed the business Ferguson Marine Engineering Limited. In 2015 Caledonian Maritime Assets Limited awarded FMEL a contract for two large ferries for Caledonian MacBrayne. The vessels were intended to use marine diesel oil or liquefied natural gas, but design and construction problems produced major delays and cost controversy. Glen Sannox was launched in November 2017, though the project remained substantially incomplete. FMEL pursued additional work, including bids connected with the Royal Navy's Type 31 frigate programme, an air-cushioned barge for Mangistau ACV Solutions, and fish-farm support vessels for Inverlussa Marine Services. The Type 31 award ultimately went to a Babcock-led bid in November 2019. Meanwhile, disputes over the ferry programme intensified. On 9 August 2019 FMEL's directors announced that the company would enter administration. The Scottish Government took management control in August while seeking a permanent solution, and formally nationalised the yard in December after private purchase proposals were rejected. The nationalisation transaction was completed on 2 December 2019 through the creation of Ferguson Marine (Port Glasgow) Limited. A government-appointed turnaround team found that Glen Sannox and Hull 802 were substantially incomplete and that much of the design work still required agreement with the client body. The yard added naval architects and marine engineers, completed the Inverlussa vessel Helen Rice in early 2020, and launched the air-cushioned barge in June 2020 for later completion in the Caspian region. A new board, including chairman Alistair Mackenzie, was appointed in June 2020. In 2021 the company announced plans to hire 120 additional workers. Kallista Helen, another Inverlussa fish-treatment workboat, was launched in March 2021. Work on Hull 802 progressed through the fitting of its bulbous bow in September 2021, but both major ferries remained years behind their original schedules. David Tydeman was appointed chief executive in December 2021 and took over in February 2022. In March 2023 he requested a revised timetable from Scottish ministers. More recently, Ferguson Marine has sought to broaden its work through naval fabrication. In May 2023 it announced a BAE Systems contract for three steel units for HMS Belfast. In July 2025 it announced a further BAE Systems contract covering three structural components for HMS Birmingham. The company therefore continues to combine public-sector-supported ferry construction with commercial marine work and defence-related subcontracting.
- 2025
Further Type 26 fabrication contract
[1]Ferguson Marine signed a BAE Systems contract for three structural components for HMS Birmingham.
- 2023
BAE Systems fabrication work announced
[1]The yard announced a contract to fabricate three steel units for HMS Belfast.
- 2020
New public company begins operations
[1]Ferguson Marine (Port Glasgow) Limited became the successor company after completion of the nationalisation transaction.
- 2019
Scottish Government nationalises the yard
[1]Following administration and failed private-sale negotiations, ownership transferred to the Scottish Government in December.
- 2017
Glen Sannox launched
[1]The first of the two large CalMac ferries was launched in November, amid continuing design and construction difficulties.
- 2015
Two-ferry CalMac order
[1]Caledonian Maritime Assets Limited awarded Ferguson Marine a contract for two dual-fuel ferries.
- 2014
Private acquisition after administration
[1]Clyde Blowers Capital acquired the yard and renamed the operating company Ferguson Marine Engineering Limited.
- 1977
Nationalisation into British Shipbuilders
[1]The company became part of the nationalised British Shipbuilders structure.
- 1912
Incorporation as Ferguson Brothers
[1]The business was incorporated as Ferguson Brothers (Port Glasgow) Limited.
- 1903
Ferguson brothers establish the Port Glasgow yard
[1]Peter, Daniel, Louis and Robert Ferguson leased the Newark yard in March, beginning the company's long-running shipbuilding presence on the lower Clyde.
Products and positioning
A specialist Scottish shipbuilder combining ferry construction, marine engineering, vessel repair and subcontracted naval fabrication, with particular significance as the last remaining shipbuilder on the lower Clyde.
Passenger and vehicle ferries · 2013
Hybrid ferries
Ferguson Marine built three hybrid diesel-electric and battery-powered ferries between 2013 and 2016. The series began with Hallaig and represented the yard's role in developing lower-emission ferry propulsion for Scottish maritime services.
Roll-on/roll-off ferries · 2017
Dual-fuel CalMac ferries
The yard's most prominent recent programme comprises two large ferries for Caledonian MacBrayne service, designed for operation on marine diesel oil or liquefied natural gas. The vessels became the focus of extensive design, schedule and cost controversy.
Workboats · 2020
Fish-farm support vessels
Ferguson Marine constructed specialist workboats for Inverlussa Marine Services, including the 21-metre Helen Rice and the 26-metre fish-treatment workboat Kallista Helen. These vessels support aquaculture operations.
Offshore support vessel · 2020
Air-cushioned barge
The yard built a large air-cushioned barge for Mangistau ACV Solutions, part of the CMI Offshore group. It was launched in 2020 for transport to the Caspian Sea, where completion and outfitting for oil-exploration work were planned.
Naval fabrication · 2023
Naval structural units
Through contracts with BAE Systems, Ferguson Marine fabricates steel and structural units for City-class Type 26 frigates, including HMS Belfast and HMS Birmingham. The work broadens the yard's role from complete vessel construction into defence-sector subcontracting.
Controversies
2019
Administration and nationalisation dispute
The collapse of Ferguson Marine Engineering Limited led to a bitter dispute between the former private owner and the Scottish Government over responsibility for the ferry programme, the yard's financial position and the terms of public intervention.
2018
CalMac ferry construction controversy
The construction of Glen Sannox and Hull 802 became the centre of a major Scottish political and industrial controversy after design changes, construction problems, escalating costs and delivery delays affected the programme.
Brand decisions
2023
Diversification into naval fabricationStrategyBackground
The publicly owned yard continued to work through the delayed ferry programme while seeking additional marine and defence-sector orders.
Action taken
Ferguson Marine secured BAE Systems work to fabricate steel units for HMS Belfast.
Aftermath
A further BAE Systems contract for HMS Birmingham components was announced in 2025, reinforcing the diversification strategy.
2019
Scottish Government takes the shipyard into public ownershipStrategyBackground
The private operating company entered administration after negotiations over the delayed ferries failed.
Action taken
The Scottish Government took over management in August and completed the purchase of the yard on 2 December.
Aftermath
A new public company was created, with a turnaround team and board tasked with preserving the yard and completing existing contracts.
Previous government loans written off. Approximately £50 million written off (2019)
2014
Clyde Blowers Capital acquires and renames the yardM&ABackground
The shipyard entered administration in August 2014 after difficulties affecting the operating company.
Action taken
Clyde Blowers Capital acquired the yard for £600,000 in September and established Ferguson Marine Engineering Limited.
Aftermath
The new company pursued ferry, aquaculture, offshore and naval opportunities before entering administration in 2019.
Recent events
Ferguson Marine announces voluntary layoffs of up to 70 staff[2]
Scotland's state-owned Ferguson Marine shipyard announced a voluntary program of staff layoffs, expecting up to 70 employees to depart, about a quarter of its staff, as it enters a transition period while awaiting new vessel contracts.
Sources2 sources
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